HomeMy WebLinkAboutItem 7a1
City of Lakeville
Finance Department
Memorandum
To: Mayor and City Council
From: Justin Miller, City Administrator
Jerilyn Erickson, Finance Director
Date: August 24, 2020
Subject: 2021 Preliminary Budget & Property Tax Levy;
CIP-Equipment, Facility & Technology Plans
The purpose of this report is to provide the City Council with an overview of community growth,
proposed 2021 property tax levy, property tax supported-funds, primary drivers of the revenues
and expenditure changes in the General Fund as well as the impact of such on the median valued
home, commercial property and fund balance reserves.
City staff has been preparing their 2021 budget requests over the past few months. The
proposed budgets reflect some of additional resources needed because of community growth,
increased costs for personnel, commodities, replacement of existing vehicles and equipment,
technology updates and maintenance of facilities.
Community Growth
The City of Lakeville has experienced significant growth during these past ten years. Since 2012,
growth from new construction has added $1.40 billion to the taxable market value of which $973
million or 67% of the growth has occurred in the past five years. The following chart provides a
breakdown of that growth:
Type 10-Yr Growth 5-Yr Growth
Residential $ 1,232,465,500 85.2% $ 815,428,900 83.8%
Commercial/Industrial 136,755,700 9.5% 106,029,500 10.9%
Apartments 74,985,200 5.2% 51,695,600 5.3%
Other 1,154,400 0.1% 2,300 0.0%
Total $1,445,360,800 100.0% $ 973,156,300 100.0%
The population has grown from 55,954 in 2010 (U.S. Federal Census) to approximately 66,000
(18% growth). As we add commercial and industrial businesses, this also increases the amount
of traffic and number of people requiring services from the City (i.e. streets, parks, police, fire,
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etc). The following chart reflects capital asset statistics as shown in the 2019 Comprehensive
Annual Financial Report:
2010 2019 CAFR*Change (#) Change (%)
City Streets (miles) 259 303 44 16.8%
Acres of parks, conservation
areas, and greenways
1,579 1,677 98 6.2%
Trails and sidewalks (paved miles)97 118 21 21.6%
Playgrounds 41 46 5 12.2%
Utility:
Water mains (miles) 311 358 47 15.1%
Fire hydrants 3,386 3,969 583 17.2%
Wells 17 19 2 11.8%
Water Towers 5 6 1 20.0%
Sanitary sewer mains (miles) 259 270 11 4.2%
*Comprehensive Annual Financial Report (CAFR)
Preliminary taxable market values have increased $542 million or 6.7% from 2020 to 2021, of
which approximately $222 million or 2.7% is from new construction. Based on the 2020 tax rate,
new construction will generate about $881,000 in property taxes. This equates to about 2.75% of
the 2020 property tax levy.
City Tax Rate
The City has been fortunate to keep its tax rate relatively low. Since 2013, the tax rate has
declined primarily due to significant new construction growth.
0.33973
0.41234
0.34427
0.00000
0.05000
0.10000
0.15000
0.20000
0.25000
0.30000
0.35000
0.40000
0.45000
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Est
City of Lakeville Tax Capacity Rates
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Proposed Property Tax Levy
The 2021 property tax levy is proposed to increase 6.5% and is comprised of the following
components:
Fund Proposed
2021
Levy
Change
from 2020
($)
General Fund $23,489,532 $953,897
Street Reconstruction 0 0
Pavement Management Fund 1,100,000 0
Building Fund 0 0
Equipment Fund 675,000 0
Park Improvement Fund 600,000 250,000
Trail Improvement Fund 80,000 50,000
Debt Service Funds 8,170,038 829,673
TOTAL LEVY $34,114,570 $2,083,570
PERCENTAGE INCREASE 6.5%
The following chart provides a guide for establishing the 2021 tax levy based on factors that
impact the Lakeville community:
Growth (New Construction) 2.70%
CPI-U (MSP)# 0.40%
Debt Service 2.59%
Total 5.69%
# 2019 Annual to July 2020
The proposed 2020 tax levy includes an additional $2.1 million to fund ongoing services to the
community, replacement of capital assets, and to make payments on the City’s $123 million of
debt. The estimated tax capacity rate is 34.427%, which equates to a 0.5% decrease from the 2020
tax rate of 34.615%. The estimated 2021 tax rate is the lowest since 2010.
Impact on Median Valued Home and Commercial Property
The median valued home value increased 3.92% from $326,300 to $339,100. A $2.1 million
increase in the property tax levy would result in the city portion of the property taxes increasing
by approximately $42. The additional $42 will provide resources for the following Funds:
Fund Amount
General Fund $19
Park Improvement Fund $ 5
Trail Improvement Fund $ 1
Debt Service Funds $ 17
Total $42
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Existing commercial properties in Lakeville, in the aggregate, increased in taxable market value
by 5.8%. The proposed 2021 City tax levy will result in an estimated $363 increase on a
commercial property valued at $1 million with a 5.8% increase in value.
Primary Drivers of Revenue Changes in the General Fund
The primary drivers of the change in revenues for the preliminary 2021 General Fund budget are
as follows:
General Fund Revenues Totals
Property Taxes 948,000$
Licenses & Permits (161,000)
Licenses 2,000
Permits* (163,000)
Intergovernmental (22,000)
Body Worn Cameras 21,000
Fire Relief State Aid 10,000
Police State Board Grant (35,000)
Elections - State reimbursment (19,000)
Traffic Safety Grants (6,000)
Art Center Grant (4,000)
Other Grants (CDBG Sr. Chores, Other) 11,000
Charges for Services (296,000)
General Government 2,000
Public Safety
SRO Reimbursements from ISD 207,000
Security Services (137,000)
Other Public Safety (36,000)
Public Works (238,000)
Recreation (94,000)
Court Fines (204,000)
Investment income 46,000
Donations/Other (11,000)
Total 300,000
Change shown from 2020 Amended Budget
*Single family building permits are budgeted at 350 for 2021.
Primary Drivers of Expenditure Changes in the General Fund
The primary drivers of the change in expenditure levels for the preliminary 2021 General Fund
budget are as follows:
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General Fund Expenditures Totals
Personnel:1,201,909$
2020 New Positions-Transition to Full Year for 2021 316,000
2021 New Positions -
2021 Fire Department COVID Duty Crew Full Year for 2021 46,000
2021 COLA 514,000
2021 Step Increases 399,000
2020 Union Compensation Study Impact 92,000
Workers Compensation (36,000)
Health/Dental Insurance (38,000)
Overtime (133,000)
Change in Benefits-FICA, Medicare, PERA, etc. 144,000
Election-Judges/Staff Overtime (96,000)
Other (6,091)
Commodities:(118,853)
Motor Fuels (13,000)
GIS Equipment (5,000)
Police Safety Equipment (Donations) (91,000)
Fitness Equipment (Donations) (16,000)
Recreation/Arts Center Programs (13,000)
Other Departments 19,147
Other Charges/Services: 33,204
City Wide - LOGIS 6,000
Association of Metro. Municipalities Membership & I35 Alliance 9,500
Fireworks (Covered by Donations & Liquor Funds) 15,000
City Clerk-Elections (9,000)
Legal Fees 16,000
Planning - Zoning Ordinance (20,000)
Inspections - Contractual Electrical Inspector (22,000)
General Government Facilities - Vonage Phone Contract 32,000
General Government Facilities - Downtown Plant Watering 6,000
Storage Facility - Utilities 9,000
Finance - L/T Financial Management Planning Model (20,000)
Police - Conversion of Fire Vehicles (3) 9,000
Police - Body-Worn Cameras Audit 5,000
Police - Taser Support Agreement 8,000
Police - Tuition Reimbursements 22,000
Police - Building Maintenance (Various) 18,000
Police - DCC Operations (47,000)
Police - Civil Defense Siren Relocation (Cost Increase) 5,000
Fire Station Building Maintenance (Various) 10,000
Fire - Streetwise (MDT/CAD Link) (10,000)
Fire - Comprehensive Fire Operations Study 50,000
Streets - Signal Light Electricity/Maintenance (Moved to St Lgt) (19,000)
Parks-Major Maintenance Projects 7,000
Recreation Programs (33,000)
Heritage Center - Building & Equipment Repairs/Maintenance (12,000)
Art Center - Contractual Services (10,000)
Other Departments 7,704
Capital Outlay:10,885
Total 1,127,145$
Change shown from 2020 Amended Budget
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Personnel Requests
No new positions or position changes have been included in the 2021 proposed budget
New positions/reclassifications requested but NOT included in the 2021 proposed
budget:
o Fire Dept – Administrative Assistant (change from part-time to full-time)
Preliminary Yearend 2020 Estimates
The following chart provides a summary of the anticipated changes in revenues and expenditures
for 2020 and the impact on the fund balance:
Fund Balance
The Fund Balance Policy states that the City will endeavor to maintain an unrestricted fund
balance in the General Fund of an amount not less than 40% and not greater than 50% of the
next year’s budgeted expenditures of the General Fund.
Staff is not recommending any additional transfers in 2020 of General Fund reserves (from 2020
operations) due to uncertainty about second half property tax collections and eligibility of
expenses to be funded by CARES Act grant. Currently, the fund balance ratio is an estimated
53.1% at 12/31/2020.
The preliminary 2021 budget includes the use of reserves for one-time or long-term purchases, as
allowed by the Fund Balance policy. Also, included in the preliminary budget is a use of reserves
to fund some ongoing inspection expenses (from prior year inspection revenue surplus) and to
moderate the tax levy increase (to address potential financial stresses caused by the pandemic).
The following chart details the use of reserves:
Use of Funds
Equipment Fund $350,000
Technology Fund 200,000
Inspections Dept Expenses 100,000
Moderate Tax levy Increase (due to
pandemic)
1,000,000
TOTAL $1,650,000
2020 2020 Variance
Budget YE Estimate Positive (Negative)
Revenues 29,752,440 30,231,353 478,913
Expenditures 30,902,186 29,776,153 1,126,033
Excess (deficiency) of revenues over
expenditures (1,149,746) 455,200 1,604,946
Transfers from other funds 830,371 830,371 -
Transfers to other funds (550,000) (550,000) -
Net change in fund balance (869,375) 735,571 1,604,946
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It should be noted that the use of reserves for operational expenses will significantly impact the
subsequent year’s tax levy when the funding source for those expenses is replaced with tax levy.
The following table shows the estimated impact on the General Fund reserve balance at year
ending 12/31/2021:
Levy
Proposed
Change ($) Change (%) FB/Est 2021 Exp*
$34,114,570 $2,083,570 6.50% 46.3%
*2022 Expenses include 3% growth plus several new FTEs
Street Reconstruction
Due to the many demands on the property tax levy, the levy designated for funding the design
portion of the City’s share of the street reconstruction projects was eliminated for 2021.
Pavement Management Fund
The proposed tax levy includes $1,100,000 to be designated for funding the City’s pavement
management program. No change from 2020. It should be noted that a significant increase will
be needed in 2022.
Facility Plan
A Facilities Plan has been established to determine what the long-term funding needs are for
maintaining the City’s buildings. The Facilities Plan summary shows the uses of funds by facility
and the various funding sources. Starting in 2019, the primary funding source has been antenna
25.0%
30.0%
35.0%
40.0%
45.0%
50.0%
55.0%
60.0%
YE 2016 YE 2017 YE 2018 YE 2019 Projected YE
2020
Projected YE
2021
General Fund
Fund Balance
Target Range
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revenue received from cellular carriers. Staff will seek other funding sources when appropriate
such as energy rebates. As directed by the Council during the discussion about the energy
savings improvement project with APEX, the lighting upgrades at many of the city facilities have
been incorporated in the Plan over a span of years.
The Facilities Plan strives to provide a stable funding source recognizing that the expenditures
will fluctuate from year to year. The Plan originally reflected a transfer of $200,000 in both 2020
and 2021 from the General Fund. The 2021 transfer was eliminated at this time.
Major facility improvements planned in 2021 include:
Arts Center
o Theater floor seats;
o Storage building repairs;
o Lighting upgrades;
o Window flashing replacement;
Central Maintenance Facility
o Garage floor recoating;
o Water heater replacement;
o Vehicle hoist replacement;
o Bulk lube valve replacement;
City Hall
o Landscape and front entrance sidewalk replacement;
o Main restroom remodel;
o Bipolar ionization/UV HVAC filtration;
Fire Department
o FS#1 – Water heater replacement;
o FS#2 – Lighting upgrades;
o FS#2 – Roof repairs;
o FS#3 – Lighting upgrades;
o FS#3 – Fire alarm panel replacement;
o FS#4 – Electronic monument sign;
o FS#4 – Lighting upgrades;
o FS#4 – RTU #3 & unit heater #1 & #2 replacements;
o FS#4 – Fitness room flooring replacement;
Heritage Center
o Heritage room floor replacement;
o Atrium chairs;
o Tables;
o Office workstations;
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Police Department
o Facility fencing;
o Office chairs;
o Front bollard termination & add pole lights;
Radio Communications Building
o Roof replacement;
Liquor Stores
o Galaxie – Walk-in cooler mechanicals replacement;
o Galaxie – Cooler racking;
o Galaxie – Landscaping parking lot islands;
o Kenrick – Cooler racking;
o Kenrick – Lighting upgrades;
o Heritage – Cooler racking;
o Heritage – Reach-in cooler;
o Heritage – Painting offices and sales floor;
Water Treatment Facility
o Building security review and update;
o Pressure washer replacement;
o Dehumidifier desiccant wheels and seals;
o Generator switchgear maintenance;
Ice Arena
o APEX Project – Ames Arena 2020-2022;
There were no changes to the facility improvement requests made by the departments during the
initial budget review.
The following projects/expenses are not reflected in the Facilities Plan at this point but are
anticipated to be of significant cost:
Construction of a fourth liquor store;
Construction of a shooting range;
Equipment Plan
The Equipment Plan has been established to determine what the long-term funding needs are for
replacement of the City’s vehicles and equipment at the end of their useful lives as well as the
addition of new equipment as the City continues to grow. The Equipment Plan summary shows
the use of funds by department and the various funding sources. The primary funding sources
have been contributions from the Liquor Fund, property tax levies and auction proceeds.
Occasional contributions from other funds have been utilized when available and appropriate
such as General Fund, Pavement Management Fund, and Communications Fund.
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In 2018, staff initiated a process of evaluation based upon a point system developed by Dakota
County. Metrics include miles driven, engine hours, vehicle or equipment usage (daily use vs.
periodic use; snowplowing vs. hauling), cost of maintenance and repairs, and maintenance hours
vs. operational hours.
The Equipment Plan strives to provide a stable funding source recognizing that the expenditures
will fluctuate from year to year. Historical funding has been significantly less than the projected
expenditures. Recognizing that the City Council is striving to reduce its level of debt and that
the current resources should be set aside to replace shorter term operational vehicles/equipment,
the use of equipment certificates is typically shown only for the purchase of fire trucks which
have an approximate useful life of 20 years. This plan includes equipment certificates also for a
sweeper and loader.
The City has approximately $29.4 million in vehicles and equipment as of 12/31/2019 of which
$25.8 million is for governmental activities (property-tax supported). The useful life will range
from three (3) to 25 years, depending on the vehicle or piece of equipment. 2019 depreciation on
the governmental assets ($25.8 million) was $2.0 million which equates to an approximate 13-
year amortization. This amount is based on historical cost and does not reflect the impacts of
inflation. The City should strive to funding the Equipment Plan at a level consistent with this
estimate on an annual basis using property taxes and other funding sources such as the Liquor
Fund and estimated auction/sale proceeds. The current Equipment Plan does not achieve this
level of funding until 2026 and, therefore, requires continual delays in replacement and,
potentially, the issuance of debt. The Council has also placed a significant reliance on excess
funds being available from the General Fund to fund an ongoing cost of capital asset
replacement.
Staff recommends keeping the annual property tax funding steady in 2021 but then increasing it
in future years to stabilize the position of the Fund.
Major equipment purchases planned in 2021 include:
Police
o Complete (3) 2020 squad builds;
o Replace (9) squads - 2013 (3), 2016 (1) & 2017 (5);
o Replace (4) Investigator vehicles - 2008 (2) & 2013 (2);
o Replace (15) mobile radios;
o Replace (65) and New (15) handguns;
o Replace (9) AEDs;
o Replace (4) Siren lightbars
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Fire
o Replace (3) staff vehicles - (1) 2013 & (2) 2018 Explorers - (Transfer to Police);
o Replace engine pumper with 1,250GPM rescue pumper (Chassis in 2021; completion
in 2022);
o Replace rescue truck with 500GPM rescue pumper (Chassis in 2021; completion in
2022)
Streets
o Replace (1) 2008 Sterling dump truck;
o Add (1) Sterling dump truck;
o Replace (1) 1-Ton pickup for Fleet Maintenance truck;
o Replace (1) 2008 skidloader with front-end loader;
o Replace (1) 2012 Sidewalk maintainer with mini-tractor with blower, V-plow and
broom;
o Add (1) JD 1575 with blower & mowing deck;
o Replace (1) ¾-Ton pickup and plow;
o Replace (8) mobile radios;
Parks
o New refuse compactor;
o Replace (1) 2013 Toro Groundsmaster;
o Replace (1) 2013 JD Tractor/snowblower;
o Replace (1) 2002 ¾-ton pickup;
o Replace (1) 2008 van;
o Replace (1) V plow;
o Replace (8) mobile radios
There were no changes to the equipment requests made by the departments during the initial
budget review.
Technology Plan
Starting in 2020, staff have separated technology purchases in a separate plan from other
equipment-type purchases. The primary funding source for the Technology Plan will be
property taxes. General Fund reserves were used to fund the initial year of the Technology Plan.
For 2021, Staff recommends using General Fund reserves again to fund the Technology Plan.
There were no changes to the equipment requests made by the departments during the initial
budget review.
The following projects/expenses are not reflected in the Technology Plan at this point but are
anticipated to be of significant cost:
Financial / Human Resources / Payroll System Upgrade;
Utility Billing System Upgrade (per LOGIS, projected to occur within 2-3 years);
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The proposed General Fund budget includes funding in 2021 for conducting a needs analysis
related to the financial/HR/payroll system (carried forward from 2020).
Park Improvement Fund
Preliminary 2021-2025 Capital Improvement Program discussions included funding and
expenditures associated with the replacement of park amenities including parking lots. Over the
five years of the CIP, the average annual expenditure is $518,000. Staff recommends increasing
the annual property tax funding to address the ongoing replacement expenses of the park system
and to stabilize the position of the Fund. Staff has proposed a $600,000 tax levy for 2021 (an
increase of $250,000 from 2020). An increase would also be needed in 2022; therefore, staff will
be researching opportunities to possibly include the projects with the annual street
reconstruction projects (using bonds as a funding source).
Trail Improvement Fund
Preliminary 2021-2025 Capital Improvement Program discussions included funding and
expenditures associated with the replacement of trail segments. In 2018, the remaining sales
proceeds ($743k) from the sale of land adjacent to the police station was transferred to the Trail
Improvement Fund. These funds were intended to replace the needed tax levy in 2019 and to
offset some of the tax levy needed in 2020 and 2021. Based on yearend fund projections and
updated project costs, staff is proposing an $80,000 tax levy for 2021 (an increase of $50,000 from
2020) for the Trail Improvement Fund, however, a significant increase will be needed beginning
in 2022.
Debt Service Funds
The 2021 property tax levy includes new debt issued in 2020 and reflects cash balances in the
debt funds. Staff will continue to review cash balances but is not anticipating any further
reductions for 2021.
The debt levy does include the amount that is anticipated for the Lakeville Arenas energy savings
improvement project debt which staff anticipates issuing in January 2021.
Other Considerations
The Utility Funds and Liquor Fund are not being presented for your review and feedback today.
They will be presented at a subsequent budget workshop.
Financial Sustainability and Resiliency
The City Council approved the Financial Sustainability and Resiliency Policy earlier this year.
The policy was developed to emphasize and prioritize the importance of long-term planning and
financial sustainability, recognizing that as a growing community, additional resources will be
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needed to provide services for a larger population, to maintain more streets and parks, etc. in
addition to maintaining our current assets on an ongoing basis.
Key principles of the adopted Policy:
Proactively plan for the service needs of the community, the maintenance of existing
assets, the protection of natural resources and environment, etc.;
Implement funding at a level which includes the full cost of providing services to the
community and maintenance, replacement and upgrade of existing assets (Pay-As-You-
Go Strategy);
Establish financial resiliency by establishing sufficient reserve and funding levels.
The Finance Committee would like to see the City Council increase the fund balance ratio for the
General Fund. The following motion was adopted at its April 22, 2020 meeting:
Target a 50-60 percent fund balance ratio in the General fund to allow the City of
Lakeville to enhance its fund balance while funding is available to prepare for any
adverse effects that may occur due to COVID-19 in fiscal 2021.
Projected Future Tax Levies
Based on the proposed Capital Improvement Program (projects, issuance of debt, tax levy
funding, etc.), a 3% inflationary factor for the General Fund levy, replacement of the $1.1 million
of reserves used for operational expenses in 2021 and conservative additions of staff resources (in
even years) the following increases in tax levies are projected:
2021 2022 2023 2024 2025
6.50% 19.00% 4.90% 2.99% 8.70%
Also based on the issuance of debt as proposed in the Capital Improvement Program, debt is
projected to comprise the following percentage of the total levy in the respective years:
2021 2022 2023 2024 2025
23.95% 23.98% 26.62% 27.12% 29.72%
Budget & CIP Schedule
Aug 24 Workshop – Review Preliminary Tax Levy and Budget; Final CIP Review / Debt
Analysis
Aug 31 Workshop – IF NEEDED – Review Preliminary Tax Levy and Budget
Sept 21 Meeting – Adopt Preliminary Tax Levy & Budget; Announce Public Budget Meeting
Date
Sept 24 Planning Commission – Review CIP for compliance with Comp Plan
Sept 28 Workshop – IF NEEDED – CIP Review
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Oct 5 Meeting – Public Hearing on CIP/Street Reconstruction Plan; Adopt CIP & Street
Reconstruction Plan.
Oct 26 Workshop – Budget Review – Utility Funds and Liquor Fund; 2021 Proposed Fee
Schedule
Nov 23 Workshop – Final 2021 Budget Review / 2020 Yearend Preview
Dec 7 Meeting – Public Budget Meeting (Truth in Taxation); Adopt 2021 Budget & Tax
Levy; Adopt 2021 Fee Schedule
Council Direction
Staff is seeking direction regarding the 2021 property tax levy and the Equipment, Facility and
Technology Plans.
Attachments:
1) General Fund Summary;
2) Equipment Plan 2021-2030;
3) Facility Plan 2021-2030;
4) Technology Plan 2021-2030.
2020 2020 2021
2019 Adopted Amended 2020 Preliminary
Actual Budget Budget Estimate Budget
Revenues (Amount) (Percent) (Amount) (Percent)
General property taxes 21,493,906$ 22,509,080$ 22,509,080$ 22,529,038$ 23,457,728$ 948,648$ 4.2% 928,690$ 4.1%
Licenses and permits 3,808,132 2,657,099 2,657,099 3,167,832 2,496,070 (161,029) -6.1% (671,762) -21.2%
Intergovernmental 1,219,200 1,053,453 1,053,453 1,102,207 1,031,562 (21,891) -2.1% (70,645) -6.4%
Charges for services 3,448,777 2,976,026 2,976,026 2,880,312 2,679,812 (296,214) -10.0% (200,500) -7.0%
Court fines 354,292 360,000 360,000 206,137 156,000 (204,000) -56.7% (50,137) -24.3%
Investment income 478,317 128,000 128,000 250,000 174,000 46,000 35.9% (76,000) -30.4%
Miscellaneous 143,406 42,893 68,782 95,827 57,729 (11,053) -16.1%(38,098) -39.8%
Total revenues 30,946,030 29,726,551 29,752,440 30,231,353 30,052,901 300,461 1.0%(178,452) -0.6%
Expenditures
General government
Mayor and council 119,026 121,006 121,006 120,292 130,039 9,033 7.5% 9,747 8.1%
Committees and commissions 107,962 91,616 91,616 33,999 107,012 15,396 16.8% 73,013 214.8%
City administration 469,912 498,062 498,062 482,633 508,241 10,179 2.0% 25,608 5.3%
City clerk 136,800 265,446 265,446 283,281 163,244 (102,202) -38.5% (120,037) -42.4%
Legal counsel 92,545 83,500 83,500 96,876 99,783 16,283 19.5% 2,907 3.0%
Planning 562,831 597,315 597,315 592,071 604,321 7,006 1.2% 12,250 2.1%
Community and econ. development 374,624 382,316 382,316 375,181 403,329 21,013 5.5% 28,148 7.5%
Inspections 1,315,910 1,439,695 1,439,695 1,451,398 1,519,824 80,129 5.6% 68,426 4.7%
General government facilities 626,334 637,091 637,091 636,645 693,841 56,750 8.9% 57,196 9.0%
Finance 793,060 859,493 879,693 859,040 884,684 4,991 0.6% 25,644 3.0%
Information technology 808,810 818,247 850,247 845,332 877,707 27,460 3.2% 32,375 3.8%
Human resources 496,660 557,705 557,705 538,073 588,400 30,695 5.5% 50,327 9.4%
Insurance 435,727 285,000 285,000 285,000 285,000 - 0.0% - 0.0%
Public safety - 0%
Police 11,456,238 12,428,732 12,506,121 12,168,802 13,036,451 530,330 4.2% 867,649 7.1%
Fire 2,040,480 2,103,412 2,119,412 2,096,775 2,236,820 117,408 5.5% 140,045 6.7%
Public works - 0%
Engineering 876,416 1,024,200 1,024,200 934,805 1,061,442 37,242 3.6% 126,637 13.5%
Construction services 508,240 620,977 620,977 529,123 615,777 (5,200) -0.8% 86,654 16.4%
Streets 3,433,821 3,547,487 3,547,487 3,233,523 3,675,739 128,252 3.6% 442,216 13.7%
Parks and recreation - 0%
Parks 2,661,384 2,869,618 2,869,618 2,710,188 2,984,776 115,158 4.0% 274,588 10.1%
Recreation 745,489 786,925 786,925 643,142 777,248 (9,677) -1.2% 134,106 20.9%
Heritage center 117,981 151,221 151,221 135,447 139,264 (11,957) -7.9% 3,817 2.8%
Arts center 673,801 633,472 633,472 574,527 636,389 2,917 0.5% 61,862 10.8%
Other - (45,939) (45,939) 150,000 - 45,939 -100.0%(150,000) -100.0%
Total expenditures 28,854,051 30,756,597 30,902,186 29,776,153 32,029,331 1,127,145 3.6%2,253,178 7.6%
Excess (deficiency) of revenues
over expenditures 2,091,979 (1,030,046) (1,149,746) 455,200 (1,976,430) (826,684) 71.9%(2,431,630) -534.2%
Other financing sources (uses)
Transfer from other funds 772,784 830,371 830,371 830,371 876,430 46,059 5.5% 46,059 5.5%
Transfer to other funds (1,225,000) (550,000) (550,000) (550,000) (550,000) - 0.0%- 0.0%
Total other financing sources (uses) (452,216) 280,371 280,371 280,371 326,430 46,059 16.4%46,059 16.4%
Net change in fund balance 1,639,763 (749,675) (869,375) 735,571 (1,650,000) (780,625) 89.8% (2,385,571) -324.3%
Fund balance, January 1 15,696,442 16,012,291 17,203,248 17,203,248 17,938,819 735,571 4.3%735,571 4.3%
Inventory Adjustment (132,957) - - - -
Fund balance, December 31 17,203,248$ 15,262,616$ 16,333,873$ 17,938,819$ 16,288,819$ (45,054)$ -0.3%(1,650,000) -9.2%
Adj Fund Balance, Dec 31 (net of restricted)16,279,427$ 14,283,241$ 15,410,052$ 17,014,998$ 15,364,998$
Ratio: Fund balance to CY expenditures 54.1%45.6%49.0%56.1%47.2%
Ratio: Fund balance to NY expenditures 52.0%44.8%48.1%53.1%46.3%
2020 2020 2021
2019 Adopted Amended 2020 Preliminary
Actual Budget Budget Estimate Budget
Function (Amount) (Percent) (Amount) (Percent)
General government 6,340,201 6,636,492 6,688,692 6,599,821 6,865,425 176,733 2.6% 265,604 4.0%
Public safety 13,496,718 14,532,144 14,625,533 14,265,577 15,273,271 647,738 4.4% 1,007,694 7.1%
Public works 4,818,477 5,192,664 5,192,664 4,697,451 5,352,958 160,294 3.1% 655,507 14.0%
Parks and recreation 4,198,655 4,441,236 4,441,236 4,063,304 4,537,677 96,441 2.2% 474,373 11.7%
Contingency - (45,939) (45,939) 150,000 - 45,939 -100.0%(150,000) -100.0%
28,854,051 30,756,597 30,902,186 29,776,153 32,029,331 1,127,145 3.6%2,253,178 7.6%
Classification
Personnel services 21,062,234 23,061,164 23,061,164 22,370,549 24,263,073 1,201,909 5.2% 1,892,524 8.5%
Commodities 1,972,089 1,826,720 1,920,109 1,717,946 1,801,256 (118,853) -6.2% 83,310 4.8%
Other charges and services 5,496,725 5,852,908 5,905,108 5,646,900 5,938,312 33,204 0.6% 291,412 5.2%
Capital outlay 323,003 15,805 15,805 40,758 26,690 10,885 68.9%(14,068) -34.5%
28,854,051 30,756,597 30,902,186 29,776,153 32,029,331 1,127,145 3.6%2,253,178 7.6%
- - - -
2020 Amended
Budget
Change from Change from
2020
Estimate
CITY OF LAKEVILLE, MINNESOTA
General Fund
Schedule of Revenues, Expenditures and Changes in Fund Balances
For the Year Ending December 31, 2021
Change from Change from
2020 Amended
Budget
2020
Estimate
CITY OF LAKEVILLECouncil Workshop 2021 - 2030 EQUIPMENT PLAN8/24/20202020 2019 CF +2021 - 2030FundingAMENDED2020 Est'd 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 TotalsUse of Funds:FacilitiesGEN FUND-$ -$ -$ -$ -$ 29,309$ -$ 34,506$ -$ -$ -$ -$ $63,815City ClerkGEN FUND- - - - 31,874 - - - - 36,260 - - 68,134 PlanningGEN FUND- - - - - 28,000 - - - - - - 28,000 InspectionsGEN FUND- - 25,290 25,728 26,456 27,185 - 28,641 - - 30,825 - 164,126 PoliceEQ FUND226,595 561,098 746,852 739,377 94,772 701,541 524,224 488,212 176,472 803,891 1,168,489 801,211 6,245,043 FireEQ FUND- - 500,289 1,184,584 648,550 742,200 174,097 1,310,893 38,720 163,014 198,614 92,300 5,053,261 EngineeringGEN FUND- - - - - - - - - - 31,750 32,500 64,250 Construction ServicesGEN FUND- - - 26,500 - - 31,050 31,860 30,250 - - 35,100 154,760 StreetsEQ FUND917,544 985,281 931,369 1,387,224 709,734 950,619 1,340,636 873,335 1,209,701 1,232,400 701,943 1,652,944 10,989,904 ParksEQ FUND232,865 226,637 414,944 398,812 270,139 266,596 384,026 547,617 431,261 391,771 476,989 329,529 3,911,684 Environmental ResourcesENV RES- - - 29,680 - - - - - - - - 29,680 ForestryENV RES- - - 24,380 - - - - - - - - 24,380 CommunicationsCOMM185,000 22,000 85,000 225,000 65,000 80,000 32,000 85,000 45,000 55,000 30,000 92,500 794,500 UtilitiesUTILITY132,521 132,521 588,067 53,000 8,570 306,056 111,809 779,771 42,282 330,611 649,647 340,782 3,210,595 LiquorLIQUOR- - - - - - - - - - - - - - - - - - - - - - - - - - Total Use of Funds 1,694,525 1,927,537 3,291,811 4,094,286 1,855,095 3,131,506 2,597,842 4,179,834 1,973,686 3,012,947 3,288,258 3,376,866 30,802,131Source of Funds:Interest Earnings (2%) 18,330 18,331 18,331 17,708 12,482 23,951 19,711 10,765 13,679 22,330 15,730 10,624 165,311Annual Levy 675,000 675,000 675,000 1,075,000 1,075,000 1,075,000 1,250,000 1,500,000 1,600,000 1,600,000 1,600,000 1,600,000 13,050,000 General Fund Contribution 350,000 350,000 350,000 - - - - - - - - - 350,000 Liquor Fund Contribution 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 5,000,000 Pavement Mgmt Fund Contribution - - - - - - - - - - - - - Environmental Res Fund Contribution 31,000 31,000 31,000 31,000 31,000 31,000 31,000 - - - - - 155,000 Utility Fund Contribution - - - - - - - - - - - - Funding outside Equipment FundGeneral Fund- - 25,290 52,228 26,456 84,494 31,050 95,007 30,250 - 62,575 67,600 474,951 Communications Fund185,000 22,000 85,000 225,000 65,000 80,000 32,000 85,000 45,000 55,000 30,000 92,500 794,500 Environmental Res Fund- - - 54,060 - - - - - - - - 54,060 Utility Fund132,521 132,521 588,067 53,000 8,570 306,056 111,809 779,771 42,282 330,611 649,647 340,782 3,210,595 Liquor Fund- - - - - - - - - - - - - Lakeville Arenas- - Intergovernmental Grants - - - - - - - - - - - - - Auction/Sale Proceeds 169,525 169,525 185,750 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 1,760,750 Donations 20,000 20,000 - - - - - - - - - - - Bond Proceeds - - - 1,550,000 635,000 644,000 - 1,180,000 - - 570,000 4,579,000 Forfeiture Funds 102,000 102,000 - - - - - - - - - - - Total Source of Funds 2,183,376 2,020,377 2,458,438 3,732,996 2,528,508 2,919,501 2,150,570 4,325,543 2,406,211 2,682,941 3,032,952 3,356,506 29,594,166$ Change in Fund Balance488,851 92,840 -833,373 -361,289 673,413 -212,006 -447,272 145,709 432,525 -330,006 -255,305 -20,360 (1,207,965)$ Beginning Fund Balance1,173,621 1,625,942 1,718,782 885,409 524,120 1,197,533 985,527 538,255 683,964 1,116,489 786,483 531,177Ending Fund Balance$1,662,472 $1,718,782 $885,409 $524,120 $1,197,533 $985,527 $538,255 $683,964 $1,116,489 $786,483 $531,177 $510,81702020-2029 CIP Adopted 1,589,526 4,465,190 3,091,285 1,707,863 2,015,765 3,400,868 3,265,931 2,308,681 2,384,275 2,428,337 - 26,657,722 Variance 338,011 (1,173,379) 1,003,000 147,232 1,115,741 (803,026) 913,903 (334,995) 628,672 859,921 3,376,866 4,144,409
CITY OF LAKEVILLECouncil Workshop 2021 - 2030 FACILITY PLAN8/24/20202019 CF +2021 - 20302020 2020 Est'd 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 TotalsUse of Funds:Art Center 140,500$ 124,565$ 130,372$ 400,000$ 8,250$ -$ 210,000$ 65,000$ 25,000$ -$ 252,368$ -$ 1,090,990$ Central Maintenance Facility 158,095 41,000 198,000 394,895 350,000 10,413,850 75,000 - - - 808,152 - 12,239,897 City Hall 409,040 331,540 223,845 242,055 236,250 57,900 1,500 135,000 - - 19,607 - 916,157 Fire Station #1 24,857 11,633 5,000 25,000 35,975 - - - - 7,800 186,014 - 259,789 Fire Station #2 - - 19,376 5,500 25,000 - 5,900 7,500 7,800 - 9,210 - 80,286 Fire Station #3 - - 23,874 11,000 5,000 - - - - - 129,115 - 168,989 Fire Station #4 27,500 53,678 99,560 295,000 - 30,000 - 5,500 - - 2,970 - 433,030 Heritage Center 92,706 57,443 42,600 21,500 - - - - 375,000 - 1,616 - 440,716 Police Station 57,350 39,159 88,449 293,658 285,000 - 200,000 75,000 - - 268,184 - 1,210,291 Public Works Storage Facility - 5,435 - - - - - - - - - - - Ice Arena - 548,541 5,584,706 1,800,038 - - - - - - - - 7,384,744 Heritage Liquor Store26,250 22,718 104,125 - - - - - - - - - 104,125 Galaxie Liquor Store5,550 5,387 143,100 31,500 60,000 - - - - - 280,657 - 515,257 Kenrick Liquor Store- - 84,280 - - - - - - - 4,368 - 88,648 Radio Communications Building - - 22,500 - - - - - - - - - 22,500 Water Treatment Facility588,393 564,559 39,000 271,538 300,000 27,500 100,000 - 33,892,000 - 6,496 - 34,636,534 Total Use of Funds 1,530,241$ 1,805,658$ 6,808,787$ 3,791,684$ 1,305,475$ 10,529,250$ 592,400$ 288,000$ 34,299,800$ 7,800$ 1,968,757$ -$ 59,591,953$ Source of Funds:Interest Earnings (2%) 21,504$ 21,504$ 21,504$ 53,234$ 2,565$ 1,541$ 6,374$ 6,803$ 11,250$ 13,151$ 23,448$ 3,975$ 143,845$ Annual Levy (Building Fund) - - - 440,000 415,000 - - - - - 130,000 - 985,000 General Fund Contribution 200,000 200,000 - - - - - - - - - - - Antenna Rental 430,102 430,102 447,667 461,964 476,691 491,859 507,483 503,552 491,613 509,487 550,141 567,690 5,008,146 Liquor Fund 31,800 28,105 331,505 31,500 60,000 - - - - - 285,025 - 708,030 Water & Sewer Funds / Bonds588,393 564,559 39,000 271,538 300,000 27,500 100,000 - 33,892,000 - 6,496 - 34,636,534 Donations/Fundraising - - - - - - - - - - - - - Energy Rebates - 19,121 - - - - - - - - - - - Other/Partnership- 6,000 - - - - - - - - - - - Bond Proceeds - - 7,933,285 - - 10,250,000 - - - - - - 18,183,285 Other - - - - - - - - - - - - - Total Source of Funds 1,271,799$ 1,269,391$ 8,772,961$ 1,258,236$ 1,254,256$ 10,770,900$ 613,857$ 510,355$ 34,394,863$ 522,638$ 995,110$ 571,665$ 59,664,840$ Change in Fund Balance(258,442)$ (536,267)$ 1,964,174$ (2,533,448)$ (51,219)$ 241,650$ 21,457$ 222,355$ 95,063$ 514,838$ (973,647)$ 571,665$ 72,887$ Beginning Fund Balance1,193,272$ 1,233,810$ 697,543$ 2,661,717$ 128,269$ 77,049$ 318,699$ 340,156$ 562,511$ 657,574$ 1,172,412$ 198,765$ Ending Fund Balance934,830$ 697,543$ 2,661,717$ 128,269$ 77,049$ 318,699$ 340,156$ 562,511$ 657,574$ 1,172,412$ 198,765$ 770,430$ - - 2020-2024 CIP Adopted 1,530,241 1,530,241 11,453,781 830,031 467,475 30,000 492,400 288,000 34,299,800 7,800 2,093,757 - 51,493,285 Variance - 275,417 (4,644,994) 2,961,653 838,000 10,499,250 100,000 - - - (125,000) - 8,098,668
CITY OF LAKEVILLECouncil Worksession 2021 - 2030 TECHNOLOGY PLAN8/24/20202019 CF +2021 - 20302020 2020 Est'd 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 TotalsUse of Funds:Administration 3,252$ 3,252$ 1,057$ 3,531$ 561$ 577$ 6,499$ -$ 6,652$ 650$ 1,339$ 6,156$ 27,020$ Arts Center 1,374 1,374 - - 4,199 - 5,092 2,336 633 4,216 - 1,902 18,378 Building Inspection 3,834 3,834 1,584 7,030 1,923 - 5,414 1,836 8,149 2,230 - 6,276 34,442 Comm/Econ Development 1,609 1,609 3,229 3,531 1,713 1,764 2,041 3,744 4,093 1,986 2,045 2,366 26,512 Engineering - - 4,481 3,531 4,754 2,448 - 5,195 4,093 5,511 2,838 - 32,852 Facilities Maintenance - - - - - 1,981 - 393 - - 2,297 - 4,671 Finance 1,377 1,377 1,813 1,646 13,915 - 1,764 2,102 1,908 16,131 - 2,045 41,322 Fire 1,891 1,425 4,982 10,796 3,619 - 1,783 5,790 12,516 14,295 - 2,067 55,847 Heritage Center 2,906 2,906 1,615 - 3,637 - 6,413 1,872 - 4,216 - 4,438 22,190 Human Resources 2,844 2,844 - 5,194 1,713 - 3,635 - 6,021 1,986 - 4,214 22,762 Information Technology1,206 1,206 3,411 3,309 4,407 - 3,839 3,954 4,467 4,460 - 4,450 32,297 Construction Services1,377 1,377 3,428 2,852 - 2,448 2,041 4,586 2,675 - 2,838 3,055 23,924 Parks Administration1,609 1,609 - 1,663 - - 2,041 - 1,928 - - 2,366 7,997 Parks Maintenance - - 6,623 1,646 3,637 - - 7,678 1,908 4,216 - - 25,707 Police 1,206 1,600 8,204 24,772 59,344 3,529 3,581 9,511 28,718 66,830 6,115 4,151 214,754 Recreation 400 400 - 7,044 - - - - 8,166 - - - 15,209 Streets Maintenance 5,528 5,528 3,229 3,291 3,408 3,710 5,414 3,744 3,816 4,196 4,048 6,276 41,132 Arenas - - 3,626 - 3,426 3,492 - 4,204 - 3,972 4,048 - 22,767 Communications 1,206 1,802 4,827 3,531 - - 1,798 5,596 4,093 - - 2,085 21,929 Liquor 57,877 48,862 - 3,531 19,376 - 62,463 7,582 4,093 - - 72,412 169,456 Environmental Resources 1,377 727 - - 3,637 - 1,764 - - 4,216 - 2,045 11,660 Utilities 1,609 730 6,442 9,845 1,713 - 2,041 7,468 11,414 1,986 - 2,366 43,274 Printers/Scanners 5,424 4,184 2,734 3,791 7,913 8,108 18,118 1,349 2,178 31,670 2,035 19,026 96,921 Network Infrastructure 35,000 - 6,706 162,545 306,064 - 42,866 18,511 188,435 146,677 8,495 156,838 1,037,138 Miscellaneous 4,000 4,000 101,000 15,458 - - - - 16,810 - 19,011 - 152,279 Total Use of Funds 136,906$ 90,646$ 168,991$ 278,534$ 448,957$ 28,058$ 178,604$ 97,449$ 322,763$ 319,443$ 55,109$ 304,532$ 2,202,440$ - Source of Funds:Interest Earnings (2%) 3,100$ -$ 3,274$ 5,136$ 3,872$ 243$ 3,960$ 4,671$ 7,104$ 4,995$ 2,989$ 6,232$ 42,476$ Annual Levy - - - 155,000 155,000 155,000 155,000 155,000 155,000 155,000 155,000 155,000 1,395,000 Contributions:General Fund- - 200,000 - 50,000 - - - - - - - 250,000 Communications Fund4,400 4,400 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 50,000 Liquor Fund 69,677 69,677 31,300 31,300 31,300 31,300 31,300 31,300 31,300 31,300 31,300 31,300 313,000 Environmental Resources3,600 3,600 4,100 4,100 4,100 4,100 4,100 4,100 4,100 4,100 4,100 4,100 41,000 Utility (Water/Sewer) Fund15,600 15,600 14,800 14,800 14,800 14,800 14,800 14,800 14,800 14,800 14,800 14,800 148,000 Direct Costs:Lakeville Arenas- - 3,626 - 3,426 3,492 - 4,204 - 3,972 4,048 - 22,767 Total Source of Funds 96,377$ 97,469$ 262,100$ 215,336$ 267,498$ 213,935$ 214,160$ 219,075$ 217,304$ 219,167$ 217,237$ 216,432$ 2,262,243$ Change in Fund Balance(40,529)$ 6,823$ 93,110$ (63,198)$ (181,459)$ 185,876$ 35,556$ 121,625$ (105,459)$ (100,276)$ 162,128$ (88,100)$ 59,803$ Beginning Fund Balance155,000$ 156,864$ 163,687$ 256,797$ 193,599$ 12,139$ 198,016$ 233,572$ 355,197$ 249,738$ 149,462$ 311,590$ Ending Fund Balance114,471$ 163,687$ $256,797 $193,599 $12,139 $198,016 $233,572 $355,197 $249,738 $149,462 $311,590 $223,4902020-2024 CIP Adopted 136,906 105,138 279,591 441,455 69,168 196,884 110,438 363,356 314,998 56,972 - 2,074,906 Variance (46,260) 63,853 (1,057) 7,502 (41,110) (18,280) (12,989) (40,593) 4,445 (1,863) 304,532 127,534